Compagnie Générale des Établissements Michelin Société en commandite par actions (ML.PA) stock analysis

In our weekly check, Compagnie Générale des Établissements Michelin Société en commandite par actions is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 15 pass, warnings: 7, red flags: 3.

About Compagnie Générale des Établissements Michelin Société en commandite par actions

Compagnie Générale des Établissements Michelin Société en commandite par actions is a Consumer Cyclical company (Auto - Parts) based in France, listed on PAR as ML.PA.

What our checks show for ML.PA

Red flags

• Revenue fell 3.1% a year over the last 3 years.
• The stock has fallen as much as 78% from a peak. Would you have held through that?
• Recovering from its deepest fall took about 6.1 years.

Warning signs

• The net margin fell by 1.3 points over 5 years, to 6.4%: the company keeps less of each sale as profit.
• The gross margin fell by 2 points, to 27%: costs are rising faster than prices.
• Analysts expect only about 3.1% a year of growth in revenue.
• Earnings per share fell 5.7% a year over the last 3 years.
• Net profit fell 5.9% a year over the last 3 years.
• The net margin is only 6.4%: little room if costs rise.
• Beta 1.21: the stock usually moves more than the market, both up and down.

Strengths

• Net debt is only 0.6x a year of EBITDA: the balance sheet has room.
• Operating cash flow is 2.29x net profit: the profit arrives as real cash.
• Analysts expect earnings per share to grow about 14.5% a year over the next years.
• The price is 13.7 times earnings (P/E), reasonable for its growth.
• A large company: market value $23.72 billion.
• Pay in shares is only 0% of free cash flow.

Similar companies

MGA · GPC · KBX.DE · BWA · APTV · ALSN

Questions

What grade does Compagnie Générale des Établissements Michelin Société en commandite par actions (ML.PA) have?

In our weekly check, Compagnie Générale des Établissements Michelin Société en commandite par actions is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 15 pass, warnings: 7, red flags: 3. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of ML.PA stock?

This week's biggest flags for Compagnie Générale des Établissements Michelin Société en commandite par actions: Weak revenue growth, Deep past fall, Slow recovery after falls. In total 10 of 25 checks show a warning or a red flag.

What does Compagnie Générale des Établissements Michelin Société en commandite par actions do?

Compagnie Générale des Établissements Michelin Société en commandite par actions is a Consumer Cyclical company (Auto - Parts) based in France, listed on PAR as ML.PA.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-24

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